Despite India’s opposition, IMF had helped Pakistan, agency clarified

International Monetary Fund: Despite the refusal of India, in May 2025, when the IMF approved the second installment of $ 1 billion to Pakistan under the extended fund facility of $ 7 billion, it had to face a lot of criticism. Along with this, $ 1.4 billion was also given to Pakistan under the Climate Rejylines Loan Program.

During this time, India kept itself away from voting at the IMF board meeting. At the same time, the argument about this funding of IMF has been- Pakistan’s track record of IMF programs is poor and Pakistan can use these money to support terrorism. Now after all, the IMF has broken its silence on this. The IMF explained why Pakistan was given financial assistance despite India’s opposition?

That’s why IMF helped Pakistan

The IMF reported that the financial assistance given to Pakistan was part of the previous agreement and it was followed by general procedures. Julie Kosec, director of the Communications Department at IMF, said, “The Executive Board of IMF approved Pakistan’s EFF program in September 2024 and the first review done at that time was planned for the first quarter of 2025.” According to the same timeline, on March 25 of 2025, the IMF staff and Pakistani officials signed a staff-level agreement on the first review for EFF. Then that agreement was presented before our Executive Board and our Executive Board completed its review on 9 May, after which Pakistan was funded.

IMF cleaned

Julie further said, our Executive Board found that Pakistan has completed all the fixed reforms on time. The country has also taken some important steps towards economic reform. Due to this, the board approved the next installment of bailout.

Where do IMF come from money?

Along with this, there is another question, which will often come to our mind that where does the IMF who helped the countries struggling with the economic crisis come from? Let us also give you information about it today. IMF has three sources to get money.

• The first is that when the IMF gives loans to a country, it also charges interest on it. Apart from this, it also charges some fees- it is a source of its earnings.
• Many times the money near the IMF falls short, then it takes loans from other rich countries so that a needy economy can be helped.
• IMF is an organization of 190 countries. When a country joins it, then he has to deposit a fixed amount in it. This is called quota. Every country puts money in this quota system according to its economy. The largest contributor (about $ 83 billion) in the IMF is the US.

Also read:

Trump’s ‘Big Beautiful Bill’ passed in the American House, reduction in remedy tax; What will be the effect on Indians?